Valeo: disturbance only temporary, says Invest Securities.
(CercleFinance.com) - Invest Securities remains optimistic about Valeo share, even though it has been sanctioned on the Paris Stock Exchange this morning (-4%), after the automotive equipment supplier published its interim results.
The Parisian broker remains a buyer of the stock, maintaining its target price of 74 euros.
Although sales growth on a reported basis fell from 22.1% in Q1 to 12% in Q2, Valeo continues to outperform its sector.
However, according to Invest Securities, the group is simply suffering from a temporary disruption. Against this, its backlog is accelerating and margins have been maintained despite the slowdown in revenue growth and the integration of Ichiko, the group has announced that growth in Q3 will be higher than in Q2 and is maintaining its guidance for 2017, analysts point out.
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The Parisian broker remains a buyer of the stock, maintaining its target price of 74 euros.
Although sales growth on a reported basis fell from 22.1% in Q1 to 12% in Q2, Valeo continues to outperform its sector.
However, according to Invest Securities, the group is simply suffering from a temporary disruption. Against this, its backlog is accelerating and margins have been maintained despite the slowdown in revenue growth and the integration of Ichiko, the group has announced that growth in Q3 will be higher than in Q2 and is maintaining its guidance for 2017, analysts point out.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.